Abstract

AThis paper presents income poverty and inequality estimates at the State and Municipal levels for Mexico. Our estimates allow for the mapping of poverty and inequality in the country, as well as for determining the specific contribution of each geographic unit to overall poverty. Additionally, it allows to measure inequality in disaggregated geographic spaces, and to decompose inequality in terms of the proportion due to within and between States and Municipalities. Our estimates are based on robust household income measures, generated with methodologies that allow for solving the common dilemma in welfare measurement, namely that there is either information with low quality measurement but high possibilities of disaggregation, or information with high quality measurement but representative only at aggregated levels.

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